Innovation Managment

Francesca Cabiddu

March 23 2015

Using the 4Ps Approach to Explore Innovation Space

Presentation

Outline

Using the 4Ps Approach to Explore Innovation Space

The Open Voucher case

Using the 4Ps Approach to Explore Innovation Space

Taking the Open Voucher case and try to map its innovation activities on to the 4Ps framework

What is its present portfolio of innovative activity – again, where is it concentrated, where are the strengths and where are the gaps?

Finally, looking ahead, where could it/should it be concentrating? Where is it vulnerable and therefore where are there new targets

for strategic innovation?

OV’s portfolio of innovative activity

Product innovation

Process innovation

Position innovation

Paradigm innovation

New for whom?

• Can be defined as new to

– Firm

– Market (industry)

– World

Innovation and Knowledge

Innovation is about knowledge

Much of the competitive advantage available through innovation is around being able to harness knowledge in both tacit and explicit form.

Components level vs architecture level

Classification of innovations

Component innovation

A component innovation is a new product, service, or process that uses new parts, modules, or materials, but relies on the same core technology as existing products, services, or processes

Component innovation

Magnetic tapesFloppy disks

Architecture innovation

An architectural innovation involves the

reconfiguration of the linkages and layout

of components, but relies on the same core

technology as existing products, services,

or processes.

Architectural innovation

Open Voucher Case

Alexandra Cipakova, Gabriela Ferenczova, Hatice Caliskan, Fabio Muscas, Filippo Figus

Question 1:

Position: - low price to attract a big range of the market (radical)

Product: - low season tourism with an all inclusive package (radical)

Process: - B2C was nothing

Question 2:

Strength: good connections to Sardinian hotel owners

Strategic use of IT resources: online platform to share availabilities by the hotels of the network

Concept was also tried to

Thank you for yourattention…

Innovation analysis of Open Voucher and the TouristSeasons in Sardinia

Team Work: Riccardo Raccis, Stefano Pala, Michele Sunda, Antonio Onida, Mattia Porta.

4Ps: innovation dimension.Taking the Open Voucher case and try to map its innovation activities on the 4Ps frameworks

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PARADIGM

PRODUCT

POSITION

PROCCES Open Voucher

4Ps: innovation dimension.Taking the Open Voucher case and try to map its innovation activities on the 4Ps frameworks

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1

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5PARADIGM

PRODUCT

POSITION

PROCCESOpen Voucher

Low season

4Ps: innovation dimension.Taking the Open Voucher case and try to map its innovation activities on the 4Ps frameworks

0

1

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5PARADIGM

PRODUCT

POSITION

PROCCES

Open Voucher

Low season

Relationship

4Ps: innovation dimension.Taking the Open Voucher case and try to map its innovation activities on the 4Ps frameworks

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1

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5PARADIGM

PRODUCT

POSITION

PROCCES

Open Voucher

Low season

Relationship

Software

Beyond the weaknesses

Weaknesses:

-Dependency on onesingle airlinescompany

-Limited of user

experience

Solutions:

- Creating a network with users and suppliers of holidayservice

-Improving software design to facilitate interaction of differentkind of users

Thanks for yur attention!

Team Work: Riccardo Raccis, Stefano Pala, Michele Sunda, Antonio Onida, Mattia Porta.

PRODUCT

POSITION

PROCESS

Changes in the underlying mental and business

models which frame what the organization does:

• service company for holiday offers

• the aim is to extend the holiday season

Changes in the things (products/services)

which an organization offers:

• itinerary personalization

Changes in the context in which the

products/services are introduced:

• low costs and high quality service

Changes in the ways in which the products

or services are created and delivered:

• efficient, automatic and immediate IT

based process

Increm

ental…

radica

lIncrem

ental…

..rad

ical

Incremental..radical Incremental…radical

PARADIGM

Increase convenience for the customers

Satisfies requirements of immedicacy,

simplicity and low cost

Value creation is reduced on the activity to link

different services offers

Everything they offer depends on the business

partners

OPEN VOUCHER CASE

Carlotta Cambarau, Giorgia Cappa, Camilla Giulia Casciu, Lucia Demurtas, AgnieszkaLubkiewicz,

INNOVATION MANAGEMENT

PARADIGM

PRODUCT /SERVICE

PROCESS

POSITION

• OPEN VOUCHER Itinerant Holiday package in Sardinia

• Shift from traditional model to online autonomously booking

• Available at low cost• Target : middle class

• Change perception of “expensive Sardinia”• Low season

4Ps Framework

incremental

SWOT ANALYSIS

Strenghts

• Affiliation with different players (package)• Low prices with good quality service• Low season profit

Weakness

• Dependence from HLX• Tourists concentration in the North

Opportunities

• Market expansion• Promotion of Sardinia and Italy in general• Tourism growth

Threats

• Merger between HLX & TUI = TUIFLY( online decrease)• Strong competitors

SUGGESTIONS FOR THE FUTURE

WARNINGS!!!!

INTERNAL PORTFOLIO